Oil approaches $116 amid fears of regional war

October 28, 2026 (MLN): Oil prices rose on Wednesday as escalating Middle East tensions heightened concerns over potential disruptions to global crude supplies, following a reported Houthi attack on Saudi Arabia’s largest oil refinery.

Currently, Brent crude futures is up, 1.73%, at $115.85 per barrel, according to data by Mettis Global.

West Texas Intermediate (WTI) crude futures is down by $1.74, or 1.74%, to $101.64 per barrel by [11:36 am] PST.

Yemen’s Iran-backed Houthi group said on Tuesday that it had targeted Saudi Arabia’s Ras Tanura refinery with a ballistic missile, fuelling fears that the regional conflict could intensify further, according to CNBC.

Meanwhile, US President Donald Trump said the war with Iran would end on his terms, reiterating that Tehran must be prevented from obtaining nuclear weapons.

Speaking at a campaign rally in Texas on Tuesday, Trump indicated that the conflict could end quickly but insisted that any settlement must guarantee Iran would never acquire a nuclear weapon.

His comments followed earlier remarks in which he said he was considering either reaching an agreement with Tehran or escalating military action, leaving markets uncertain about the potential for further strikes.

The risk of disruptions to oil shipments has continued to support crude prices, with investors factoring in a geopolitical risk premium amid uncertainty over the conflict’s duration and potential expansion.

Political uncertainty in Israel has added another layer of concern, as preliminary exit polls suggested neither Prime Minister Benjamin Netanyahu nor his main challenger, Gadi Eisenkot, had secured a clear route to a parliamentary majority.

The rival political blocs reportedly fell short of the 61 seats needed to control Israel’s 120-member parliament, raising the likelihood of prolonged coalition negotiations and leaving uncertainty over the country’s future approach to Iran.

Copyright Mettis Link News